Public contracts are not the same things as grants and subsidies. They are contracts for services to be rendered, and SpaceX quite frankly won them handily by being fundamentally better and cheaper then the competition.

And most of their funding has come from private investment, and by building and running the Falcon 9 which is by far the cheapest and most reliable way for anyone to get stuff into space at the moment.

You can hate Musk without being blind to the fact that SpaceX is legitimately doing things no one has ever done before with rocketry. The SLS is a traditional rocket that was designed by NASA and built by contractors and it literally costs orders of magnitude more to fly, has never actually flown yet, and at most could fly twice a year. Public ownership is not a magic bullet that makes everything instantly better.